The PAXTIBI group has announced the launch of a claims distribution solution for creditors affected by the FTX bankruptcy, aimed at simplifying the recovery process.
Challenges Faced by Creditors
Participation in FTX bankruptcy recoveries is often fraught with delays and legal challenges. Creditors face extended timelines, disputed claims, and restrictions that render their claims nearly worthless in some cases, potentially leading to years of illiquidity.
PAXTIBI's New Solution for Creditors
PAXTIBI offers creditors the ability to transfer their claims for processing, with the company assuming the responsibility of pursuing recoveries. Once funds are distributed, PAXTIBI remits payments directly to the creditor, deducting only a pre-agreed success fee, ensuring alignment of interests: 'when FTX pays, the creditor is paid immediately.'
PAXTIBI's Vision and Future Plans
Federico Natali, Partner at PAXTIBI, emphasized the importance of developing reliable solutions for creditors, stating that the company aims to simplify payout processes for all stakeholders. PAXTIBI also plans to apply this model to other bankruptcy cases, leveraging its expertise in law and finance.
PAXTIBI's initiative for processing claims for FTX creditors highlights the need for innovative solutions in complex bankruptcy cases, aiming to improve recovery processes for creditors in the future.
